Assignment Task: Improve Your Cash Flow with Revenue Cycle Management
Without revenue service providers don't survive. Medical practitioners typically depend upon two sources of revenue, insurance and patient fees. This article goes into what kinds of things doctors must do from a CPA's perspective. Typically doctors rely on a CPA or other financial advisors but the advice is fairly typical to at least get them started. Certainly, making certain the patient information is correct, that you have a verification in hand and that the coding is correct is all vital. Any of these will slow payment. Improving cash flow from cash patients is not an easy situation but it can be accomplished with persistence. Read the article to help you to answer the questions below, use your other resources and apply some commonsense.
Questions:
1. Why is collection such an important part of a service provider business?
2. When patients or insurance companies are slow in making payments what measures can be used to improve the process?
3. If an insurance company doesn't quickly approve a procedure and release funds, what can the practice do to expedite and improve cash flow?